07 Mar Like the hole in a bagel, any hole in Finagle A Ba
Like the hole in a bagel, any hole in Finagle A Bagel’s information and accounting systems means less dough for the company. Copresidents Alan Litchman and Laura Trust and their management team could not make timely, informed decisions to build the business profitably without reliable systems for collecting data, processing them, and presenting the results in a meaningful way.1. Is Finagle A Bagel collecting data from internal sources, external sources, or both? What cautions apply to the sources of its data?2. Finagle A Bagel uses information to track cash, sales revenues, and expenses on a daily basis. How does this type of accounting system encourage effective decision making and discourage store-level theft?3. As a small business, which of the financial ratios might Finagle A Bagel want to track especially closely? Why?4. Do you think the Frequent Finagler card has any effect on Finagle A Bagel’s customer loyalty? For the firm, what are the benefits of the loyalty program?
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